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Version status: Omitted | Document consolidation status: Updated to reflect all known changes
Version date: 26 July 2013 - onwards
  Version 2 of 2    

55B. Assessment of creditworthiness.

Omitted from 26 July 2013

(1) Before making a regulated consumer credit agreement, other than an excluded agreement, the creditor must undertake an assessment of the creditworthiness of the debtor.

(2) Before significantly increasing -

(a) the amount of credit to be provided under a regulated consumer credit agreement, other than an excluded agreement, or

(b) a credit limit for running-account credit under a regulated consumer credit agreement, other than an excluded agreement,

the creditor must undertake an assessment of the debtor’s creditworthiness.

(3) A creditworthiness assessment must be based on sufficient information obtained from -

(a) the debtor, where appropriate, and

(b) a credit reference agency, where necessary.

(4) For the purposes of this section an agreement is an excluded agreement if it is -

(a) an agreement secured on land, or

(b) an agreement under which a person takes an article in pawn.

Comparing proposed amendment...